Leasing property in Florida may provide passive income and the opportunity to diversify your investments. However, a positive outcome rests heavily on your ability to attract and maintain good renters.
Taking specific steps during the marketing and screening portion of your search can give you some control over who shows interest in your property.
There is no way of telling for sure if your tenants will stay 100% financially reliable. However, there are things you can do to increase the chances of finding someone who will be able to make every payment on time throughout the length of the lease agreement. For example, you can run a credit check and call on former landlords for references. You can require a security deposit to offset the costs of potential damages. You can also look for a track record of on-time payments during former leases.
You do have to follow state and federal regulations. If you take extreme and unwarranted measures to verify a candidate’s financial stability, you could face legal repercussions. According to the U.S. Department of Housing and Urban Development, ignorance of the Fair Housing Act includes discrimination against race, religion and disability, among other topics.
Another factor to assess when looking for good renters is the level of responsiveness. Good communication can say a lot about a person’s ability to remain reliable and dependable. Pay attention to how candidates interact with you, the types of questions they ask and their response to questions you may ask.
There are still other characteristics you can look for in housing candidates, including integrity, honesty and a clean eviction record. Clearly outline your expectations from the beginning of the relationship as well, so your renters know what you expect of them. Taking a few extra steps at the beginning may make all the difference in your ability to find good renters and build a sustainable relationship.